Escorts Kubota Limited’s Board of Directors met on February 10, 2026, to approve the Unaudited Financial Results for the quarter and nine months ending December 31, 2025. Crucially, the Board declared a Special Dividend of ₹18/- (180%) per share, setting the Record Date for February 16, 2026. Furthermore, the company consented to acquire approximately 154 acres of land in YEIDA for a new Greenfield Project aimed at enhancing production capacity.
Board Meeting Outcome: February 10, 2026
The Board of Directors of Escorts Kubota Limited convened on February 10, 2026, and made several key announcements following the review of the financial performance for the quarter and nine months ended December 31, 2025.
Financial Results and Special Dividend
The Board approved the Unaudited Financial Results (Standalone and Consolidated) for the period. Key highlights from the standalone results include:
- Profit Before Tax from Continuing Operations for the nine months ended December 31, 2025, stood at ₹1,395.22 Crores, compared to ₹1,008.24 Crores in the previous year.
- Total Comprehensive Income for the nine months reached ₹2,085.35 Crores.
- Earnings Per Share (Basic) for continuing operations for the nine months was ₹96.00.
In a significant move for shareholders, the Board declared a Special Dividend of ₹18/- (180%) per fully paid-up equity share (face value ₹10 each) for the Financial Year 2025-26. The stipulated Record Date for this payment is February 16, 2026 (Monday), with payment due within 30 days.
New Director Appointments
The Board recommended the appointment of two individuals as Additional Directors (Non-Executive Nominee Directors) based on the recommendation of the Nomination, Remuneration and Compensation Committee:
- Mr. Hitoshi Sasaki (DIN: 11464326), a nominee of Kubota Corporation with extensive experience in Farm and Industrial Machinery Strategy.
- Mr. Satoshi Suzuki (DIN: 06527098), also a nominee of Kubota Corporation, with expertise in Business Planning, Sales & Marketing.
Both appointees will hold office until the ensuing Annual General Meeting or three months, whichever is earlier.
Greenfield Project Expansion
The Board gave consent to invest funds, in phases, for the acquisition of approximately 154 acres of land in the YEIDA Industrial Area (Sector-10, Gautam Buddha Nagar, Uttar Pradesh) to set up a new Greenfield Project.
Project Details:
- Objective: Increase production capacity for tractors, construction equipment, and other products.
- Phase 1 Capacity Addition: 60,000 units per annum for tractors and 15,000 units per annum for Construction Equipment.
- Initial Investment Required: Estimated outlay of approximately ₹593 Crores (covering land, lease, and development costs) in one or more tranches.
- Total Indicative Outlay (DPR): The Detailed Project Report suggests an indicative investment of ₹2,268 Crores.
- Timeline: The proposed capacity is expected to be added within 7 years from the land allotment date.
- Financing: Funds will be sourced from the proceeds of the earlier preferential issue of shares to Kubota Corporation, Japan, and internal accruals.
Segment Performance Summary (Consolidated – Nine Months Ended December 31, 2025)
The Segment Revenue breakdown shows the strength in core areas:
- Agri machinery products revenue: ₹7,431.05 Crores.
- Construction equipment revenue: ₹1,129.47 Crores.
- Segment results (Agri machinery): ₹959.92 Crores.
The company noted an Exceptional Item expense of ₹52.46 crore recognized during the period relating to employee costs due to the implementation of a new labor code.
Source: BSE
